A new year and new concerns

Many private debt professionals have expressed optimism for 2017, but two cautionary tales emerged in January.

One month into the year and two storylines emerging in the credit world are a slower collateralised loan obligation market and massive loan repricing that is dampening credit spreads.

Gretchen Lam, a portfolio manager at Octagon Credit Investors, says the slow start in 2017 for CLO issuance has arisen from the difficulty of finding debt at attractive prices.

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